Company Tax Return for All Entity Types
BNG Consultancy strategists primarily work with small to medium enterprises that have business operations domestically in Australia and/or overseas. No matter if you represent a small business, a startup, a franchise, corporation, subsidiary or family group, come find out more about our services.
Company Tax Rates
The following rates of tax apply to companies for the 2018–19 income year. This includes corporate limited partnerships, strata title bodies corporate, trustees of corporate unit trusts and public trading trusts.
Base Rate Entity Company Tax Rate
From the 2017–18 income year, companies that are base rate entities must apply the lower 27.5% company tax rate.
A base rate entity is a company that both:
- has an aggregated turnover less than the aggregated turnover threshold – which is $25 million for the 2017–18 income year
- 80% or less of their assessable income is base rate entity passive income – this replaces the requirement to be carrying on a business.
Base rate entity passive income is:
- corporate distributions and franking credits on these distributions
- royalties and rent
- interest income (some exceptions apply)
- gains on qualifying securities
- a net capital gain
An amount included in the assessable income of a partner in a partnership or a beneficiary of a trust, to the extent it is traceable (either directly or indirectly) to an amount that is otherwise base rate entity passive income.